NEW YORK: Ketchum's workplace communications and change management
practice has acquired New York-based Stromberg Consulting, a management
consulting firm that specializes in change management communications.
Ketchum's two-year-old practice has re-branded itself Ketchum Inside to
reflect its expanded capabilities, although Stromberg will not merge
with it - or change its name.
While Peter Fleischer, partner/director of Ketchum Inside, would not
comment on the exact purchase price, he did say that Stromberg's
projected fee income for this year is more than dollars 12.5 million and
Ketchum paid based on projection of future profits.
Gary Stromberg, founder and president of Stromberg Consulting, will
continue to run the firm and retain his titles. It has not been decided
whether his staff will be relocated to Ketchum's New York
'Our value just went up enormously,' said Fleischer of the Stromberg
acquisition. Ketchum Inside is shooting for dollars 30 million income
this year, 15% of the goal for Ketchum as a whole, which is aiming for
dollars 200 million in 2001.
Fleischer said there were no client conflicts. Stromberg clients include
Citibank, Pfizer, Morgan Stanley, Deutsche Bank, MetLife and Merck.
Ketchum Inside clients include Visa USA, Cingular, 3M, BP and Whirlpool.